KLA Corporation, holding 56-58% of the semiconductor inspection and metrology market, reported FY26 revenue of $13.58B (up 12% YoY) with September-quarter guidance of $4.0B ± $200M. The company benefits from AI semiconductor manufacturing complexity, advanced packaging growth (70%+ YoY), and $12.6B backlog, though China exposure (~30% of revenue) poses geopolitical risks.
Indium phosphide wafer prices have surged 250% to $5,000 following China's export restrictions, with further increases expected. Supply constraints are driving revenue growth for substrate makers like AXT, LandMark Optoelectronics, and VPEC, while buyers secure long-term contracts to secure capacity for data center applications.